Christmas Debts In Scotland
A study conducted on behalf of the Money Advice Service has revealed Scots are more likely to pay for Christmas costs using overdrafts, payday loans and credit cards than the rest of the UK.
Statistics show many choose to put their summer holiday on credit and are still paying for it when Christmas comes, forcing them to get further into debt in order to have a comfortable festive season.
If you’ve been struggling with your finances, Trust Deed Scotland may be able to help.
25% who borrowed money to cover their holiday pay it off by December but 10% take more than 18 months to clear the debt. Furthermore, 20% of Scots are still trying to pay off what they owe from last Christmas with a whopping 47% borrowing money to cover gifts and Christmas food.
A Spokesperson for the Money Advice Service, Melanie Taylor, commented:
“There is so much pressure on parents to deliver the perfect Christmas that it’s easy to feel that your children will be the ones missing out unless you spend vast amounts of money.”
Although you may not think so at first glance, it is possible to have a nice festive season without spending more than you can comfortably afford. It is important to be realistic while making your Christmas purchases and consider if you can’t afford to pay for them in cash right now, will you be able to pay for them with extra interest later? Avoid getting into debt over Christmas gifts.
A Spokesperson for the Trust Deed Scotland said:
“Unaffordable debt can be created around Christmas time especially. In recent years, marketing for buy now, pay later products has increased, alongside traditional sources of Christmas debt in Scotland including store cards and credit cards.
We’re here for anyone who needs debt advice in Scotland. Our friendly, non-judgemental advisors are standing by.”
If you have overspent on Christmas, and you need help with unaffordable debt, then we recommend contacting an experienced money advisor as soon as possible.